Presentation on OLPER’S Presented to: Mam.Ammara

1. Presentation on OLPER’S Presented to: Mam.Ammara

2. Acknowledgements • Firstly we would thank Allah for giving us the opportunity and the resources to be able to do something productive with our lives • Then our sincere thanks to Mam.Ammara Akram for helping us throughout this report. • Lastly we would like to thank our families for their incessant support and approval.

3. Group Members • Beenish Jahangir BsIT-07-04 • Jamilla bb BsIT-07-48 • Tayyaba Jahangir BsIT-07-33 • Kiran Shakoor BsIT-07-05 • Uzma Noreen BsIT-07-08 • Nudrat Rehman BsIT-07-47 • BsIT-4th semester

4. Contents • Introduction • Segmenting Targrting and positioning • SWOT Analysis • PEST Analysis • 4P’s in Marketing • Customer Based Brand Equity

5. Beenish Jahangir BsIT-07-04 Introduction

6. Abstract • This report is about the marketing of Olper’s from the time when ENGRO foods came up with the idea of adding a new product line. • Brief history about Olper’s and how it came into existence. • The corporate structure and organizational hierarchy of ENGRO Fertilizers, its mission statement and the vision. • How they have segmented its target market and positioned the product in the minds of the consumers.

7. The SWOT analysis in which we talk about the strengths, weaknesses, opportunities, and threats the organization is facing since its product was launched. • The PEST analysis, about how the external factors affect the growth and stability of the product. • Promoting the product and making consumers aware of Olper’s, using the 4 P’s • Conclude the report by discussing the social responsibilities in which ENGRO Fertilizers is involved and the future plans of the organization for Olper’s.

8. Engro Foods’ History • Engro Foods (Pvt.) Limited (EFL) has been established in 2005 • The plant located at Sukkur on 23 acre land, has the raw milk reception capability of 300,000 liters per day and UHT milk capacity of 200,000 liters per day • The plant has been established at a cost of Rs. 1 billion which provides direct employment to 750 people

9. Vision "Our vision is to become a fast expanding mega foods company.”

10. Core Values 1. Leadership 2. Innovation 3. Diversity and International focus 4. Quality and continuous Improvement 5. Candid and open communications 6. Individual growth and development 7. Enthusiastic pursuit of profit 8. Ethics and integrity 9. Safety, Health and Environment

11. Departments 1.Administration 2. Finance and Accounts 3. Human Resource 4. Marketing 5. Milk Procurement 6. MIS 7. Production 8. Quality Assurance 9. Supply and Distribution

12. Jamilla bb BsIT-07-48 Segmenting and targeting the market for olper’s

13. Segmenting and targeting the market for olper’s • Olper’s segments the market keeping some basic things in mind like milk to be white, carefully processed,and good for health and bones.

14. Demographic segmentation • Olper’s products are not bounded to any particular age, gender or lifecycle stage, the brand is meant for all the users in higher upper or middle class families.

15. Psychographic segmentation • On the basis of psychographics, factors such as personality traits, lifecycles and values the marketers at olper’s have segmented the market.

16. Behavioral segmentation • Products have been segmented on the basis of benefits that consumers seek in the milk.

17. Positioning the brand • Olper’s positioned the brand by taking a number of following steps: • Packaging of olper’s milk and olwell in red color and Olper’s cream in purple color . • By selling proposition for olper’s is: “jo dil khol kay jeetay hain unheen k lye ha olper’s.

18. Tayyaba Jahangir BsIT-07-33 SWOT Analysis Strengths Weaknesses Threats Opportunities

19. Strengths 1. Engro’s Back Olper’s is a brand of ENGRO foods. ENGRO foods can easily afford research and development. ENGRO can distribute the brand through better channel 2. PR with farmers ENGRO has a strong bond and long term relationship with the farmers who are willing to supply milk to the company.

20. 3. Positive response from customers • In first year, EFL crossed 1.4 billion sales figure which shows customers’ satisfaction upon EFL’s products. 4. Its taste, quality proposition and world-class quality proposition system. • 4. Strong consumer & product research • AC Nielsen, • Mindshare, • JWT Asiatic and • MARS marketing and advertising agencies.

21. 5. Third-Generation Plant • third-generation UHT milk plant in the country. • Bactofuge technology • plant in Central Punjab (Sahiwal) with an investment of Rs. 2 billion (US $ 33 million).

22. Weaknesses 1. Olwell TVC Olwell ad which is based on Western life style. Failed to analyze in Pakistan, where practicing Muslims reside, Ignoring the ethics, religious beliefs and cultural values. 2. Owning Red Color . There is no color association attached to Olper’s.

23. 3. Milk collection & distribution costs • EFL’s 34 out of 40 milk-collection centers are located in Punjab, • 1Sukkhur (Sindh). • It increases in collection & distribution costs. • increases the chances of milk getting spoiled because of increased travelling time. • 4. Narrow brand portfolio • EFL’s brand portfolio still consists of just 3 products i.e. Olper’s Milk, Olwell Milk and Olper’s Cream.

24. Opportunities • 1. Increased funding by Government Government has decided to increase farmers’ funding. • 2. Increased consumption of PLM Each competitor in the milk industry wants to increase penetration of processed liquid milk.

25. 3. Awareness Growing dissatisfaction with loose milk and increasing awareness about health and hygiene issues have led to increased processed milk consumption. 4. Third largest producer of milk Pakistan with 32 billion liter of milk a year, 3 billion litres in the next few years. This is quite an opportunity for ENGRO foods as there is lot of growth in this part of the Sector.

26. Threats 1 Perceptions and Price Differentials Consumers’ perceptions and price differentials can cause a threat for the company. It is important that Olper’s comes up to the expectations of the customers For example, lose milk is still cheaper than packaged milk and that is also one factor that people still prefer to buy lose milk. 2 Competition For Olper’s it might be difficult to penetrate in a market where the loyalties exist for such brands as Nestle and Haleeb.

27. Kiran Shakoor BsIT-07-05 PEST Analysis

28. Political factors There are no specific government rules and regulation but because of unstable political conditions strikes and road blocking is creating problems for delivery on time

29. Economical factors Inflation rate of Pakistan for the current fiscal year has grown to 7 percent. This thing is really hurting the purchasing power of Pakistani consumers. packaged milk industry which is already considered as more costly compared to open milk is becoming out of reach of general public. As a result, there is an increased pressure on these companies to either decrease their prices or at least keep prices stable.

30. Social factors • In Pakistan the norm is to get up in the morning and get the fresh milk (straight from the cow) from the ‘doodh wala. . It is a general perception that only loose milk is fresh and free from preservatives and thus healthy .For substantial penetration of the market, packaged milk providers have to overcome all such perceptions and generate awareness about the safety and healthiness of packaged milk

31. This will however require a lot of time and patience because most of the people are not willing to spend additional amount of money on packaged milk when they are convinced that it has a lot of preservatives and is unhealthy

32. Technological factors • milk yields per animal have been increased through scientific feeding & breeding • our project is to establish forms. First 14 farms in Okara, Punjab have been formally established as model farms. • . Currently, most equipment for storage and processing is being imported from Western countries

33. Uzma Noreen BsIT-07-08 4P’s

34. PRODUCT Olper’s Milk Launched on March 20,2006. Olper’s milk is EFL’s standardized and homogenized pure UHT (Ultra heat treated) milk with 3.5 % fat and 8.9 % solid non-fats.

35. It is EFL’s premier brand, and the choice of quality-conscious consumers who only go for the best. • It is available in easy-to-open, 6-layered Tetra Pak Brick Aseptic red packaging and comes with a 3 months shelf life.

36. Shipping Units • 1 Litre (1000 ml ) : 12 packs per carton • ½ Litre (500 ml) : 12 packs per shrink-wrapped tray • ¼ Litre (250 ml) : 27 packs per shrink-wrapped tray

37. Olper’s Cream • The premium cream processed hygienically from pure fresh milk, Olper’s Cream is luxuriously rich in its thickness & nutritional value. • It promises the richest & scrumptious assortment of tempting toppings, delicious desserts and creamiest coffee with its unique taste, also great for eating with bread etc.

38. It was launched on September, 2006. • and comes in 6-layered Tetra Pak Brick aseptic purple • color packaging with 6 months shelf life. • Shipping Units • ¼ Litre (250 ml) : 27 packs per shrink-wrapped tray

39. Olwell Hi-Cal Lo-Fat (HCFL) Milk • Launched on December 15, 2006, Olwell is a low-fat, high-calcium milk with the richness of pure milk. • It is an ideal choice for weight-watchers and heart patients. • It is also high in calcium content, which prevents osteoporosis.

40. Packed in 6-layered Tetra Pak Brick Aseptic red packaging with easy-to-open plastic cap, it comes with a 3 months shelf life. Shipping Units • 1 Litre (1000 ml ) : 12 packs per carton • ½ Litre (500 ml) : 12 packs per shrink-wrapped tray

41. Placement & Distribution • According to Mr. Ali Akbar, Director Marketing EFL, • “In order to succeed, you should ALWAYS capitalize on your STRENGHTS and NEVER on your • COMPETITOR’S WEAKNESS!” • Engro Foods did exactly that.

42. They used their decades of PR with farmers and used it to provide world-class supply-chain management for delivering the ultimate quality milk in Pakistan. • Having kicked off simultaneously in 20 cities across Pakistan. • The launch has been ambitious and currently Olper’s is available in 80 cities across Pakistan.

43. It reflects the company’s intention to become a big player in the industry, both on a ational and international level. • Engro FoodsLimited has its own distribution network. • EFL has divided Pakistan into five regions for milk distribution namely: Karachi, Lahore, Islamabad, Peshawar and Multan.

44. Promotion & Advertising • Olper’s launch was, perhaps one of the most aggressive as far as processed liquid milk (PLM) is concerned, with TV Cs, print ads, radio commercials, billboards and activities including direct consumer and shop branding activities. Olper’s Milk • Media mix for Olper’s milk includes TV, print, outdoor, radio & BTL activities. Olper’s

45. Due to an appealing color scheme, which stands out in the clutter and thanks to the EFL’s strong relationship building and special discounts to retail outlets, • Olper’s has gained a proper shelf placement in the presence of competitors like Nestle and Haleeb .

46. Price • EFL IS pursuing the competitive pricing strategy for its products. • In competitive pricing the price of the product is determined considering the price of major competitors like Nestle, Haleeb etc.

47. PRICE(milk)

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